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LTL freight shipping definition
Less Than Truckload (LTL) shipping is a freight transportation method where multiple shippers’ goods share space within a single truck or trailer. It’s a cost-effective, efficient solution for smaller shipments that don’t require a full truckload.
Benefits of LTL shipping
Shared Space: In LTL shipping, multiple shippers share the same truck space. Shipments are consolidated to maximize efficiency and space utilization.
Cost Savings: LTL shipping lets businesses save money by sharing transportation costs with other shippers—each paying only for the space used.
Flexibility: LTL carriers offer flexible pickup and delivery options to fit different schedules and business needs.
Smaller Shipments: LTL is ideal for freight too large for parcel carriers but not enough to fill a truck—commonly used for pallets, crates, and partial loads.
Reduced Environmental Impact: By consolidating shipments, LTL shipping reduces the number of trucks on the road—cutting fuel use and emissions.
Transit Time: LTL shipments may include multiple stops, but carriers still offer competitive transit times. Shippers can choose between standard or expedited delivery based on their urgency.
Freight Class: Each LTL shipment is classified by weight, size, and commodity type using the NMFC system, which determines handling and pricing.
Tracking and Visibility: Most LTL carriers offer tracking tools for real-time shipment visibility throughout transit.
Factors that determine LTL shipping rates
Location: Greater distance usually means higher shipping costs.
Dimensions: Shipment dimensions and weight define freight class, which directly impacts pricing.
Mode: LTL shipments can be expedited for an additional cost when speed matters.
Type: Shipments needing special handling—like perishables, fragile, or hazardous goods—typically cost more to move.
Common LTL shipping questions
LTL shipping is popular across industries needing affordable, efficient transport for smaller loads. It’s a practical choice for businesses optimizing routes, managing costs, and improving delivery performance.
Understanding the benefits of LTL shipping helps shippers make smarter logistics decisions—improving supply chain efficiency and customer satisfaction.